Reuters reported Tuesday that oil major ExxonMobil agreed to sell conventional assets in Permian Basin to privately-owned Hilcorp Energy for about $1 billion. ExxonMobil confirmed the sale but declined to name the buyer or value of the assets reportedly comprised of conventional vertical wells not horizontal wells used to pump from shale. Exxon’s spokesman said, “The sale is consistent with our strategy to focus investments on advantaged assets in our industry-leading portfolio.”
Houston-based Hilcorp specializes in acquiring mature oilfields. Its new older, mature assets offloaded by Exxon are estimated to have net production of 26,000 boed. Closing is expected in 2025Q1.